GFG Liberty Steel Australia Whyalla steel plant

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GFG Liberty Steel Australia Whyalla steel plant, also known as Liberty OneSteel Whyalla, is a blast furnace-basic oxygen furnace (BF-BOF) steel plant operating in Whyalla, South Australia, Australia.

Location

The map below shows the exact location of the plant in Whyalla, South Australia, Australia:

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  • Location: 172 Lacey Street, Whyalla, South Australia 5600, Australia
  • Coordinates (WGS 84): -33.009381, 137.587836 (exact)

Background

Plant History

The Whyalla Steelworks is an integrated and electric steelworks with current capacity of approximately 2.6 million tonnes per annum of cast steel and hot rolled product.[1] GFG Alliance states that the plant is Australia’s "only manufacturer of special grade billet and steel long products" and that it produces "semi-finished steel billets to Liberty Steel and produces custom made hot rolled structural, rail and sleeper products for internal and external customers."[2]

Corporate ownership changes

In April 2016 Arrium appointed KordaMetha to restructure the debt-laden business which included the Whyalla Steelworks. KordaMentha aimed to sell the Whyalla Steelworks and related businesses as an integrated package.[3]

In late September 2017 Liberty House GFG announced that it had bought the Whyalla Steelworks.[4]

In early 2020, Whyalla Steelworks, previously known as Liberty OneSteel or Liberty Steel Whyalla announced a name change to "InfraBuild Steel Centre Whyalla. InfraBuild remains a company of the Liberty Group.[5]

Coal Supply

In January 2018 the GFG Alliance announced that its mining division, SIMEC Mining, had entered into an agreement to buy Glencore’s Tahmoor coal mine in New South Wales. At the time the mine had annual production of about 2 million tonnes of coal a year with most of its product being high-quality coking coal used for primary steel making in blast furnaces.[6]

The company described the purchase of the mine, which ws scheduled to be completed in the first quarter of 2018, as "a key element in the GFG Alliance’s transformation plan for its flagship Whyalla Steelworks in South Australia that is designed to optimise and expand production, thereby securing its long term sustainability."

In the media release Gupta stated "the acquisition of the Tahmoor mine is an exciting step forward in our stated strategy to create fully-integrated, end-to-end businesses in Australia, from raw materials and energy right through to high-value finished products ready for market ... Through this purchase we secure and de-risk an important feed for the Whyalla Steelworks."[6]

The purchase of the Tahmoor mine was completed on April 20, 2018.[7]

Power supply

Existing power supply

The South Australian grid, run by the then Electricity Trust of South Australia (ETSA), was extended to Whyalla by the late 1950s. While the town's supply was progressively transferred to ETSA during the 1960s, BHP continued to supply much of its own needs and those of some other customers that were not economic to transfer to the ETSA network. As BHP's power needs grew it began to use grid power for a greater portion of its own needs.[8] However, as of 2016 the steelworks continues to generate its own electricity to lower its energy costs and increase security of supply.

As of 2005, the Whyalla Steelworks has 66.5 MW of dedicated electricity generating capacity on-site. 57.5 MW of this capacity consists of three turbo alternators driven by steam raised in various boilers, fired primarily by waste blast furnace and coke oven gases. The boilers can also be fired with supplementary fuel oil and natural gas. The boilers also provide steam for process use around the plant. Two 4.2 MW gas turbines operate exclusively on purchased natural gas.[8][9]

Despite this on-site capacity, the plant relies on purchased electricity for a substantial portion of its needs, and only exports power to the grid occasionally.

Renewable energy plans

As part of its plan to overhaul the business, GFG Alliance announced in August 2017 that it proposed to invest up US$1 billion in the Whyalla steelworks and associated mining businesses including to "improve energy generation capabilities, including a new co-generation power plant to capture and reuse waste gases, generating on-site captive power." The announcement also proposed investment in "new large-scale pumped hydro and solar power plants to assist in addressing Australia’s energy imbalance and high energy costs. [4]

Several weeks later GFG Alliance announced that, via its SIMEC Energy subsidiary, had bought a majority shareholding in the energy company ZEN Energy "to deliver cheaper, more reliable and environmentally sustainable energy for SIMEC’s mining operations in South Australia and Liberty OneSteel’s operations in South Australia, Victoria, New South Wales, Queensland, and Western Australia."[10]

The company explicitly stated that its "main focus" in the development of new energy projects would be on renewable energy.[10]

In late October 2017 the Board of ZEN Energy announced that its board had adopted a strategic plan of proving 1000 megawatts of "additional dispatchable renewable generation assets to support long-term electricity supply contracts with South Australia’s large industrial users, including the Liberty OneSteel Whyalla Steelworks." [11]

Included in its proposals "for early development" were "200MW of solar photovoltaics, comprising 80MW in the Whyalla Council industrial area, expanded by 120MW on adjacent land owned by Liberty OneSteel; 100MW/100MWh battery at Port Augusta; a 100MW of demand response at the Whyalla Steelworks and other SA sites; and 120MW/600MWh pumped hydro storage facility at a disused iron ore mine pit in the Middleback Ranges." [11]

Transition

In June 2020, the company announced its plans to transition the plant away from BF-BOF technology by 2024, making it a "GreenSteel" facility. The BF-BOF equipment will be phased out in favor of a 1.5mtpa EAF and 1.8mtpa DRI plant, which will be fed by natural gas until they are able to produce green hydrogen to feed it instead. The project aims to leverage renewable energy sources, such as solar and hydroelectric power, to achieve carbon-neutral steel production, reduce emissions, and create sustainable jobs in the region. The transformation is expected to position Whyalla Steel as a global leader in environmentally friendly steel manufacturing.[12]

Low-emissions/green steelmaking

This steel plant is associated with a green steel project tracked in the Green Steel Tracker. Details about the project are included below.

Table 1: Green Steel Project Details

All references for the above data are available in the Green Steel Tracker.
Project 1
Company Liberty Steel Group
Company has climate goals? Yes
Location Whyalla, Australia
Project name Whyalla Transformation Program
Project website Site
Project scale Full scale
Project status Announced
Year to be online 2024
Technology to be used NG-DRI to H-DRI
Technology details DRI+EAF Fed by Natural Gas in transitioning to green H2
Iron production capacity (million tonnes per year) Not applicable
Steel production capacity (million tonnes per year) 1
CO2 capture (million tonnes CO2 per year) Not stated
Hydrogen generation capacity(MW) 2
Investment size 760
Partners Not stated
Date of announcement 2020-06-10

Plant Details

Table 2: General Plant Details

Phase Plant status Announced date Construction date Start date Pre-retirement announcement date Retired date Workforce size Power source Iron ore source Coal source
Main plant Operating[13] 1941[14] 1500[15] 66.5 MW Captive Power Plant; South Australian Grid[16][17] Tahmoor mine
Closure Operating pre-retirement[18] 2023-04-04[18] 2025[18] see wiki page Tahmoor mine
Expansion Announced[19] 2020-06[20] 2021[20] 2025[18] 200 MW hydrogen-fuelled power station, 280 MW Cultana Solar farm[21] Middleback Ranges[22]

Table 3: Ownership and Parent Company Information

Phase Owner Owner company PermID Owner company GEM ID
Main plant Gfg Alliance Ltd[23] 5057811578 E100001000556

Table 4: Process and Products

Phase Steel product category Steel products Steel sector end users Main production equipment Detailed production equipment
Main plant semi-finished; finished rolled[24] rod, bar, wire, tube[24] building and infrastructure; energy; steel packaging; tools and machinery[24] BF, BOF[24] 1 BOF (began in 1964; 100m3)[25]
Closure semi-finished; finished rolled[24] rod, bar, wire, tube[24] building and infrastructure; energy; steel packaging; tools and machinery[24] BF, BOF[24] 1 BOF (began in 1964; 100m3)[25]
Expansion semi-finished; finished rolled[24] rod, bar, wire, tube[24] building and infrastructure; energy; steel packaging; tools and machinery[24] DRI, EAF[20] DRI plant (natural gas based, plans to transition to hydrogen); EAF (160-tonne, Danieli)[20][18][26][27][28]

Table 5: Crude Steel Production Capacities (thousand tonnes per annum)

*Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Phase Capacity operating status* Basic oxygen furnace steelmaking capacity Electric arc furnace steelmaking capacity Nominal crude steel capacity (total)
Main plant operating
Closure operating pre-retirement 1200 TTPA[14] 1200 TTPA[14]
Expansion announced 1500 TTPA[18][29] 1500 TTPA[18][29]

Table 6: Crude Iron Production Capacities (thousand tonnes per annum)

*Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Phase Capacity operating status* Blast furnace capacity Sponge iron/DRI capacity Nominal iron capacity (total)
Main plant operating
Closure operating pre-retirement 1200 TTPA[30][31] 1200 TTPA[30][31]
Expansion announced 1800 TTPA[18] 1800 TTPA[18]

Table 7: Actual Crude Steel Production by Year (thousand tonnes per annum)

Year BOF Production Total (all routes)
2020
2021 1022 TTPA[32] 1022 TTPA
2022 886 TTPA[33] 886 TTPA

Blast Furnace Details

Table 8: Blast Furnace Details

Unit name Status Announced date Construction date Start date Retired date Furnace manufacturer and model Current size Current capacity (ttpa) Decarbonization technology Most recent relining
2 operating pre-retirement[31] unknown unknown 1981-02[34] 2024[35] Hoogoven[34] 1884 m³[34] 1200[30][31] unknown 2011-06[36]

Articles and Resources

Additional data

To access additional data, including an interactive map of steel power plants, a downloadable dataset, and summary data, please visit the Global Steel Plant Tracker on the Global Energy Monitor website.

References

  1. Liberty Steel Australia, Liberty Steel, Retrieved on: May 21, 2020
  2. LibertyGRG Group, "Liberty in Australia", September 2018, page 11.(Pdf)
  3. "Arrium Australia: Saving a global business with local impact", KordaMetha website, accessed January 1, 2019.
  4. 4.0 4.1 "GFG Alliance completes landmark acquisition of Arrium", GFG Alliance, August 31, 2017.
  5. Liberty GFG Alliance, Liberty Steel, Retrieved on: May 21, 2020
  6. 6.0 6.1 "GFG Alliance agrees purchase of Glencore’s Australian metallurgical coal mine", Media Release, January 2, 2018.
  7. "Tahmoor Coking Coal Employees Welcomed to the GFG Family", Media Release, April 20, 2018.
  8. 8.0 8.1 Mark Parry, "Network service provider registration exemption", Australian Energy Regulator, December 9, 2005.
  9. "Waste Heat to Power Systems," EPA, Last Updated: May 30, 2012
  10. 10.0 10.1 ZEN Energy, "GFG Alliance invests in ZEN Energy to create a new Australian National Energy Champion", Media Release, September 20, 2017.
  11. 11.0 11.1 ZEN Energy, "New ZEN Energy Launches Gigawatt Program to Support SA Industry", Media Release, October 30, 2017.
  12. "GFG Announces Updated Plan To Transform Whyalla Steel Into A World Leading "GREENSTEEL" Facility". GFG Alliance. June 10, 2020.{{cite web}}: CS1 maint: url-status (link)
  13. https://web.archive.org/web/20220710185220/https://www.libertygfg.com/liberty-primary-steel/. Archived from the original on 10 July 2022. {{cite web}}: Missing or empty |title= (help)
  14. 14.0 14.1 14.2 https://web.archive.org/web/20220113195449/https://www.gfgalliance.com/whyalla-transformation/about-the-steelworks/. Archived from the original on 13 January 2022. {{cite web}}: Missing or empty |title= (help)
  15. https://web.archive.org/web/20220120125511/https://www.afr.com/companies/manufacturing/gupta-s-whyalla-steelworks-reverses-losses-20210303-p577ab. Archived from the original on 20 January 2022. {{cite web}}: Missing or empty |title= (help)
  16. (PDF) https://www.aer.gov.au/system/files/OneSteel's%20application%20to%20be%20exempt%20from%20registering%20as%20an%20NSP%20(9%20December%202005).pdf. {{cite web}}: Missing or empty |title= (help)
  17. (PDF) https://web.archive.org/web/20240130192840/https://www.epa.gov/sites/default/files/2015-07/documents/waste_heat_to_power_systems.pdf. Archived from the original (PDF) on 30 January 2024. {{cite web}}: Missing or empty |title= (help)
  18. 18.0 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 https://web.archive.org/web/20230404055858/https://www.gfgalliance.com/media-release/liberty-steel-in-whyalla-announces-the-phase-out-of-coal-based-steelmaking-with-purchase-of-a-low-carbon-emissions-electric-arc-furnace/. Archived from the original on 04 April 2023. {{cite web}}: Check date values in: |archive-date= (help); Missing or empty |title= (help)
  19. https://web.archive.org/web/20220121110404/https://www.gfgalliance.com/whyalla-transformation/. Archived from the original on 21 January 2022. {{cite web}}: Missing or empty |title= (help)
  20. 20.0 20.1 20.2 20.3 https://web.archive.org/web/20220114135133/https://www.gfgalliance.com/media-release/gfg-announces-updated-plan-to-transform-whyalla-steel-into-a-world-leading-greensteel-facility/. Archived from the original on 14 January 2022. {{cite web}}: Missing or empty |title= (help)
  21. https://gfgalliancewhyalla.com/transformation/a-message-from-the-executive-chairman/. {{cite web}}: Missing or empty |title= (help)
  22. https://web.archive.org/web/20230925092635/https://www.afr.com/companies/manufacturing/sanjeev-gupta-in-500m-push-to-make-whyalla-steelworks-greener-20230403-p5cxm8. Archived from the original on 25 September 2023. {{cite web}}: Missing or empty |title= (help)
  23. https://web.archive.org/web/20240125062507/https://www.gfgalliance.com/about-us/. Archived from the original on 25 January 2024. {{cite web}}: Missing or empty |title= (help)
  24. 24.00 24.01 24.02 24.03 24.04 24.05 24.06 24.07 24.08 24.09 24.10 https://web.archive.org/web/20220823203329/http://www.libertyhousegroup.com/our-businesses/liberty-steel/liberty-steel-australia/. Archived from the original on 23 August 2022. {{cite web}}: Missing or empty |title= (help)
  25. 25.0 25.1 AIST Basic Oxygen Furnace Roundup http://www.libertyhousegroup.com/our-businesses/liberty-steel/liberty-steel-australia/2021 AIST Basic Oxygen Furnace Roundup. {{cite web}}: Check |url= value (help); Missing or empty |title= (help)
  26. (PDF) https://web.archive.org/web/20220126122208/https://www.gfgalliance.com/wp-content/uploads/2021/09/051721-GFG_Sustainability-Report_2020_FINAL.pdf. Archived from the original (PDF) on 26 January 2022. {{cite web}}: Missing or empty |title= (help)
  27. https://web.archive.org/web/20220318121807/https://eurometal.net/greensill-crisis-may-affect-whyalla-dri-eaf-conversion-reports/. Archived from the original on 18 March 2022. {{cite web}}: Missing or empty |title= (help)
  28. https://web.archive.org/web/20221216153650/https://www.pv-magazine-australia.com/2022/08/24/sas-whyalla-steelworks-hits-green-steel-milestone-with-first-batch-of-premium-magnetite/. Archived from the original on 16 December 2022. {{cite web}}: Missing or empty |title= (help)
  29. 29.0 29.1 https://libertysteelgroup.com/liberty-steel-in-whyalla-announces-the-phase-out-of-coal-based-steelmaking-with-purchase-of-a-low-carbon-emissions-electric-arc-furnace/. {{cite web}}: Missing or empty |title= (help)
  30. 30.0 30.1 30.2 https://web.archive.org/web/20210516095300/https://www.argusmedia.com/en/news/2113013-gfg-to-overhaul-australias-whyalla-steelworks. Archived from the original on 16 May 2021. {{cite web}}: Missing or empty |title= (help)
  31. 31.0 31.1 31.2 31.3 https://web.archive.org/web/20240125054730/https://libertysteelgroup.com/our-operations/liberty-steel-australia/. Archived from the original on 25 January 2024. {{cite web}}: Missing or empty |title= (help)
  32. (PDF) https://web.archive.org/web/20230116180549/https://libertysteelgroup.com/wp-content/uploads/2022/12/Liberty-Steel-Sustainability-Report-2022.pdf. Archived from the original (PDF) on 16 January 2023. {{cite web}}: Missing or empty |title= (help)
  33. (PDF) https://web.archive.org/web/20240209185700/https://libertysteelgroup.com/wp-content/uploads/2023/11/Liberty-Steel-Sustainability-Report-2023.pdf. Archived from the original (PDF) on 09 February 2024. {{cite web}}: Check date values in: |archive-date= (help); Missing or empty |title= (help)
  34. 34.0 34.1 34.2 https://www.researchgate.net/publication/298108016_OneSteel_Whyalla_Blast_Furnace_campaign_extension. {{cite web}}: Missing or empty |title= (help)
  35. https://web.archive.org/web/20221007232148/http://www.afr.com/companies/manufacturing/gupta-plans-1b-overhaul-of-whyalla-steelworks-20200609-p550uv. Archived from the original on 07 October 2022. {{cite web}}: Check date values in: |archive-date= (help); Missing or empty |title= (help)
  36. https://web.archive.org/web/20240110005146/https://www.afr.com/companies/mining/reline-of-whyalla-furnace-is-timely-20110223-ilokt. Archived from the original on 10 January 2024. {{cite web}}: Missing or empty |title= (help)

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